AP tobacco growers seek to stub out low price regime

M Enosh Jeremiah, TNNMay 4, 2004, 09.55pm IST

HYDERABAD: Tobacco farmers in the southern black soil (SBS) areas of Andhra Pradesh have boycotted auctions, demanding higher prices for their produce. The farmers launched the agitation after tobacco prices tumbled to a low of Rs 36 a kg, from a high of Rs 48 per kg at the beginning of the auction season in March.

"The offered price of Rs 36 a kg is abysmally low and we have no option but to boycott the auctions," said Chunduru Ranga Rao, a Tobacco Board member.

Mr Rao told ET that an emergency meeting of the farmers will be convened to decide the future course of action. He added that they would not relent until higher prices were paid to the farmers for their produce.